Hitachi Ltd has narrowed down potential buyers of Hitachi Metals Ltd to two groups, one of which is led by private equity firm KKR & Co. If realised, the deal is expected to be worth more than 700 billion yen ($6.42 billion), one of this year’s biggest M&As.

Carlyle Group, Bain Capital and KKR were among potential bidders. Hitachi is planning to sell its 53% stake in Hitachi Metals.

Hitachi Metals, with a market value more than $7 billion, will be the latest of Hitachi’s divestiture of businesses following the sale of chemical unit Hitachi Chemical Co to Showa Denko and of a diagnostic imaging business to Fujifilm Holdings Corp.

Read more at Reuters